Short answer – Yes AND No…
Long answer – Every state has their own requirements but the transfer of a liquor license to a restaurant buyer will be approved provided the application of a purchaser is approved by the State Licensing board. Also, the transfer will require the seller’s authorization with a notarized signature on required forms.
When a restaurant with a liquor license is sold, there is usually a strict time frame that the license needs to be transferred into the new owner’s name. Each state will vary but usually does not exceed 180 days from the day the new owner takes ownership. The liquor license requirements are also different from state to state so it’s important for business owners to do their research and contact their state’s licensing board to get exact requirements to avoid any delays and issues that would obstruct you from buying a restaurant or bar with a liquor license.
There are a few things to keep in mind when transferring a license. A background check must be done when applying for a liquor license. One of the most common issues that occur when transferring a license is a felony conviction. This will automatically disqualify an applicant and requires at least 15 years since conviction has passed in order to qualify. Another common mistake is an incomplete application and/or missing documents. Make sure to review your application fully before submitting it. If you choose to do it yourself, having another set of eyes review it or paying a professional such as an Attorney; CPA; etc… to ensure you didn’t miss anything. This can save you time and money that is essential to your business.
When you buy a bar in Florida, There are usually two major types of liquor licenses and then there are sub-licenses in each type depending on what the business is and what the owner would like to serve and in what capacity. The two major licenses are:
For example, if a business just wants to serve just beer and wine on the premises, then the 2COP license would suffice. If you are looking to have a full liquor bar, a 4COP license is what you would need. Other factors may also be required depending on the state before you can have the license you are looking for. A few of those requirements can be:
Looking for the Division of Alcohol Beverages and Tobacco in your state or the department that deals with Alcohol Beverages and Tobacco is where you can find the breakdown and requirements for all liquor licenses. Requirements and fees are regulated by state statutes so it’s important when you are researching which one would suit your needs the best or are purchasing a business where you are transferring the license, make sure you get the answer the following questions:
The answer to this question really depends on the kind of license you need to have and the complexities of it. Applications are usually processed within 90 days per state statutes and getting an actual license can take up to 9 months. However, with the new staff shortages that the country is experiencing, many government agencies are short staffed and the time frames are varying from state to state. Making sure an accurate and completed application is submitted will definitely help in the timeframe of getting your license sooner rather than later.
Overall, getting a liquor license or one transferred is usually a simple process. Depending on the state, applications are available in person, by mail, or online. Being prepared and doing your research will put you on the path of buying a restaurant with a liquor license where there is so much potential in using it to raise your sales and expanding your customer base. Holding a liquor license comes with much responsibility and liability as well so making sure you and your staff are properly trained and educated on the laws and requirements for holding a liquor license are essential to keeping your license and maintaining a good standing record.
Read more: How to Buy a Bar and Get Your Georgia Liquor License